Constituting A Root Map Towards Inclusive Growth: A Comparative Analysis

Abstract

Developing and emerging countries of Asia have shown a tremendous improvement in economic growth rates couple with the significant strides in extreme poverty reduction. However, most of the economies are still facing some challenges like income and non-income disparities in sharing benefits and participation into social and economic activities. It requires attention that economic growth must be accompanied by reduction in poverty and income & non-income inequalities, and promoting equitable participation, i.e. growth must be inclusive. To address these challenges, present study presents a pioneer work to construct a unique but comprehensive inclusive growth index (IGI) over the period of last two decades for 17 Asian and 8 developed countries. The study made a comparative analysis of inclusive growth performances of developing and emerging countries of Asia and compared their final score with the benchmark set by developed countries of the world. The study highlighted the clusters of variables which required attention in developing Asia to converge with emerging Asia, and in emerging Asia to converge with developed world. In short, the study provides a root map for developing countries to merge with emerging countries, and for emerging countries to merge with developed countries.

Globalisation and Inclusive Growth in Africa: The Role of Institutional Quality

“…In terms of the different dimensions of globalization, political globalisation presents a greater chance of attaining broad inclusive growth followed by social globalisation whereas economic growth globalisation has the least effect. Our results are consistent with the findings in prior studies such as Heimberger (2020), Daly et al (2017), Duttagupta et al (2018), Shahzad and Chaudhary (2020), de Barros Santiago (2017), Yameogo et al (2021), Asongu et al (2020), Bataka (2019), Gygli et al (2019), Quinn et al (2011), Le and Ozturk (2020), Asongu and Odhiambo (2020) and Zaidi et al (2019). What the results portend is that globalisation and particularly economic globalisation can facilitate international exchanges (transfer) and interaction of resources, foreign trade, technological transfers and increment in manufacturing and productivity in Africa.…”

“…This suggests that liberalisation does not provide inclusiveness. This is corroborated, to some extent, by the study conducted by Shahzad and Chaudhary (2020) for some selected Asian countries. Specifically, Shahzad and Chaudhary (2020) concluded that some components of globalisation have negative effects on inclusive growth, particularly ethnic diversity and environmental distortions.…”

“…This is corroborated, to some extent, by the study conducted by Shahzad and Chaudhary (2020) for some selected Asian countries. Specifically, Shahzad and Chaudhary (2020) concluded that some components of globalisation have negative effects on inclusive growth, particularly ethnic diversity and environmental distortions. However, Asongu and Nwachukwu (2017), who investigated the impact of globalisation on inclusive human capital development, submitted that the effects depend on many factors including income levels, legal systems, resource wealth, landlockedness, religious denomination and political stability in a country or a group of countries.…”

“…Thus, it is important to focus on inclusive growth that encompasses all segments of economic development that are associated with social welfare. Only a few studies have taken this approach (Duttagupta et al, 2018; Shahzad & Chaudhary, 2020). Duttagupta et al (2018) developed a dynamic stochastic general equilibrium (DSGE) model to ascertain the effect of globalisation on inclusive growth in Ghana while Shahzad and Chaudhary (2020) explored the same subject matter for some selected Asian countries.…”